FOREIGN MINISTER ASO VISITS JORDAN, ISRAEL, WEST

C O N F I D E N T I A L TOKYO 003962 SIPDIS SIPDIS E.O. 12958: DECL: 08/21/2017 TAGS: PREL KPAL KWBG SENV EAID ETRD IR IS JO JA SUBJECT: FOREIGN MINISTER ASO VISITS JORDAN, ISRAEL, WEST BANK; HOSTS FOUR-PARTY TALKS ON CORRIDOR FOR PEACE AND PROSPERITY Classified By: Charge d'Affaires Joe Donovan, Reasons 1.4 (b) and (d) -------------- SUMMARY -------------- ¶1. (C) Japanese Foreign Minister Taro Aso was clearly pleased with his August 13-15 visit to Jordan, Israel, and the West Bank, calling it the most constructive diplomatic mission he has undertaken as Foreign Minister. The centerpiece of the visit was the "Ministerial Level Meeting of the Four Party Consultative Unit of the Concept for the Corridor for Peace and Prosperity" ON August 15 in Jericho. At that meeting the four parties agreed to (1) establish an agro-industrial park in the southern part of the Jericho governorate, (2) hold a technical-level meeting in October to determine the product to be produced at the park and the means of transporting it to markets, (3) continue to lend political support to the initiative, and (4) in parallel, to convene a meeting of environmental experts by the end of the year to begin addressing environmental issues of the West Bank. ¶2. (C) Prior to convening the four-party meeting, Aso discussed bilateral issues with his counterparts. In Jordan, the focus was ON conflicting views about how to deal with debt relief issues, and ON the possibility of rebuilding the Damiya Bridge and building a distribution center and airport in Jordan related to the "Corridor for Peace and Prosperity" (CPP) initiative. In Israel, Aso met with President Peres, Prime Minister Olmert, Foreign Minister Livni, and Defense Minister Barak. He pressed the Israelis to show support for Palestinian President Abbas by lifting checkpoints in the West Bank and addressing the issue of settlements and outposts. The Israelis expressed their strong concerns about Iran's nuclear program. With Palestinian President Abbas and Prime Minister Fayyad, Aso announced the resumption of Japanese direct assistance to the Palestinian Authority and also discussed Hamas. The Japanese came away from this meeting with the impression that neither Abbas nor Fayyad has developed a clear position ON how to proceed vis-a-vis Hamas, although it is clear neither wants to see Gaza isolated. END SUMMARY. ¶3. (C) Foreign Minister Taro Aso visited Jordan, Israel, and the West Bank ON August 13-15. The main purpose of his visit �A;was to chair a ministerial level meeting in Jericho of the four parties involved in Japan's Corridor for Peace and Prosperity Initiative (CPP). Prior to this meeting he made stops in Amman, Jerusalem, and Ramallah to hold bilateral talks with Jordanian, Israeli, and Palestinian leaders. -------------- JORDAN - PEACE PROCESS AND DEBT RELIEF -------------- ¶4. (C) The Middle East Peace Process and debt relief were the main topics of conversation during Aso's August 13 stop in Amman, according to Mamoru Kanno, MOFA First Middle East Division Palestine officer, who accompanied Aso ON the visit. FM Aso met with Foreign Minister Khatib and Prime Minister Bakhit, and visited an UNRWA refugee camp before departing overland to Jerusalem. The Jordanians reiterated their support for Japan's CPP initiative and the role Japan is playing in the peace process as a whole. Aso briefed them ON what the Japanese wished to accomplish at the Jericho four-party meeting and also successfully sought support to convene an expert-level meeting by the end of this year to discuss environmental issues affecting the West Bank. Kanno explained that Japan would like to see the relaunch of the Oslo Process Environmental Working Group, but for now this four-party initiative tracking in parallel with the CPP could serve as an impetus. ¶5. (C) The Japanese and Jordanians also sought to align their expectations for the CPP project. The Jordanians, said Kanno, are keen to see the reconstruction of the Damiya Bridge, the construction of a distribution center for products produced by the initiative's agro-industrial park, and a new airstrip in Jordan for transporting the products to markets in the Gulf region. They consider these three items to be a package deal that Jordan will get out of the CPP. Japan's main focus, ON the other hand, is aiding the Palestinian economy, not building infrastructure for Jordan. Aso reiterated that Japan is not in a position to make any commitments to the Jordanians until a feasibility study is completed that includes considerations for the best way to ship the goods produced by the Palestinians. If the conclusion of the experts is that the goods should be shipped across the Damiya Bridge, processed for shipment, and then flown out of Jordan, only then will Japan START to give serious thought to these components of the overall project. ¶6. (C) Another slightly contentious issue between Jordan and Japan is debt relief. Japan is Jordan's largest creditor, said Kanno, to the tune of approximately USD 1.7 billion. Jordan would like to deal with this ON a bilateral basis and proposed a buyback at discounted rates, or a "prepayment" scheme by which Jordan would pay off its loans earlier than scheduled but again at a discounted price. Japan prefers an international approach and has made clear that Jordan must approach debt relief by way of the Paris Club, and if that group approves Jordan's proposal Japan will then give it strong consideration. -------------- - ISRAEL - SUPPORT FOR ABBAS, CONCERN ABOUT IRAN -------------- - ¶7. (C) Following his meetings in Jordan, Aso traveled overland to Jerusalem where he met with Israeli President Peres the afternoon of August 13. Israeli Embassy Second Secretary Israel Strolov told Embassy Tokyo Political Officer SIPDIS that the Japanese, who came prepared for a perfunctory courtesy call, seemed surprised by the details into which Peres delved. Peres was accompanied by the Major General who is responsible for the security of the West Bank and the two of them discussed in detail with the Japanese a number of other projects underway or proposed for the area in the hope of soliciting assistance. Strolov reported the Japanese were not prepared for these overtures and politely turned them back, citing the need to consult in Tokyo with Japan International Cooperation Agency (JICA) officials. (COMMENT: It is also likely that Japan would rather be seen as the driving force behind its own CPP initiative, rather than to play a support or assistance role in projects proposed by the Israelis. END COMMENT.) ¶8. (C) ON August 14, Aso met separately with Foreign Minister Livni, Defense Minister Barak, and Prime Minister Olmert to discuss bilateral and regional issues. The bilateral issues included: -- Airport Landing Rights: Israel seeks to establish direct service between Tokyo and Tel Aviv in order to increase tourism and business ties, but landing slots for El Al are not currently available at Tokyo's Narita airport. According to Strolov, Japan has offered slots at Osaka's Kansai airport, but El Al doesn't see this as an economically feasible option and has not accepted. Instead, they are "gambling" that they will get a Narita slot when construction on an additional runway is completed in 2010. Strolov thinks this is a long shot, as the Japanese have made it unofficially known that over 30 other airlines are applying for slots, and favorable consideration will be given first to those who have already been flying to Kansai. FM Livni raised this issue with Aso, but heard the same answer the Israeli Minister of Tourism received two weeks ago in Tokyo from the Japanese Minister of Transport: "best to START in Osaka." -- OECD Membership: The Israelis thanked Aso for Japan's support in OECD enlargement discussions, reported Strolov. This support has been quiet, but is greatly appreciated, he said. -- Economic Relations: The Israelis have been trying to convince the Japanese to send a business delegation for the past eight months and the Japanese continue to say they are "working ON it," said Strolov. Aso's Israeli interlocutors pointed out that Prime Minister Olmert will be hosting a business summit in November and urged Japanese participation. Aso reportedly replied that he hopes a Japanese delegation will attend. -- Cultural Issues: 2012 will mark the 60th anniversary of Israeli-Japanese diplomatic relations, and the Japanese have proposed commemorating this with significant cultural exchanges. Strolov says the Israelis have other, more pressing interests to pursue with Japan in the meantime, but are willing to support this initiative. The exact format for such exchanges or events is still yet to be determined and plans are still very vague. -- Diplomatic Exchanges: FM Aso renewed Japan's invitation for a visit by Prime Minister Olmert, according to Kanno, who opined that the likelihood of such a visit is small, given Olmert's domestic political concerns. Strolov, ON the other hand, told us the Israeli Embassy will actively push for such a visit and is hopeful it will take place. In addition, the Embassy would like to move forward with plans for President Peres to make an official state visit to Tokyo. Strolov said he realizes this is a much longer shot, commenting that usually only two such visits take place per year. -- Military Exchanges: There are not currently any military exchanges between the Japanese and Israelis, said Strolov, but Minister of Defense Barak would like to initiate contacts. The Israelis will try to organize a visit by Amos Gilad, chief of the Ministry of Defense's Political-Security Bureau. Kanno confirmed an invitation to Barak had been extended, but thought that first there would be lower-level exchanges. ¶9. (C) The regional issues FM Aso discussed with the Israelis were the Peace Process and CPP initiative, which was Japan's number one topic, and Iran, which was Israel's top agenda item. -- Iran: Iran was raised by all the Israelis Aso met with, according to Strolov. This was echoed by Kanno, who reported the Israelis were "extremely sensitive" about Iran, showing great anxiety about Tehran's activities both ON the ground and, more importantly, ON the nuclear front. They warned Aso that time is running out and told him they believe Iran will have a nuclear device "in the near future," said Kanno. The Israelis thanked Aso for Japan's firm public stance ON the need for Iran to comply with international sanctions aimed at its nuclear program and stressed the need to remain firm in the future. Aso replied that Japan shares Israel's concerns and reiterated Tokyo's belief that pressure must be maintained within the framework of the international community, according to Kanno. Aso said he believes the Iranians are, despite what they say, very sensitive about international sanctions, citing the fact that Iranian Foreign Minister Mottaki calls him whenever the Security Council seems prepared to take further action. -- Peace Process: FM Aso urged the Israelis to strongly support Palestinian Authority President Abbas by, for example, reducing the number of checkpoints in the West Bank and by addressing the issue of Jewish settlements and outposts, Kanno reported. He also briefed FM Livni ON Japan's expectations for the Jericho meeting, confirmed that she planned to attend, and sought Israel's support for the four-party environmental experts meeting Japan would like to initiate. Aso and Livni also agreed upon the need to refrain from any dealings with Hamas, although Strolov reported the Israelis harbor some doubts about whether Japan is really committed to fully isolating Hamas, pointing to Tokyo's pledge to provide for humanitarian assistance to the Gaza Strip. ¶10. (C) While in Israel, FM Aso also attended a dinner with business people, and made an official visit to Yad Vashem and a private visit to the Old City. Strolov reported that despite the very tight nature of Aso's schedule, his staff insisted ON arranging for the Old City visit, speculating that the fact he is Catholic and has never before visited Jerusalem played a role in this decision. -------------- THE PALESTINIANS - RESUMPTION OF ASSISTANCE -------------- ¶11. (C) The morning of August 15, FM Aso was in Ramallah where he met separately with President Abbas and Prime Minister Fayyad. According to Kanno, Fayyad briefed Aso ON the basic policy of the Palestinian Authority, which is to focus ON bringing stability to the West Bank and to reform itself, particularly in the economic and security sectors. He continued that the Gaza Strip cannot be isolated and that the Palestinian territories must be unified. Fayyad was very clear that Hamas must meet three conditions before the Palestinian Authority will begin to negotiate with it, namely: -- return Gaza to the situation as it existed prior to June 14 and return the buildings and property it has seized; -- disarm itself: "Hamas cannot exist as a militia;" and, -- respect the Palestinian Authority, headed by President Abbas, who was elected and is supported by the Palestinian people. ¶12. (C) Abbas repeated many of the same points made by Fayyad when he met with Aso later in the morning, said Kanno, but also added that Hamas must apologize to him personally before negotiations can begin. The Japanese came away from their meetings with the Palestinian leaders questioning whether they have agreed upon a way forward, according to Kanno. Both Fayyad and Abbas stressed that they do not want to exclude all possibilities of a dialogue with Hamas, but the Japanese are unclear whether either is really interested in dealing with Hamas at this point. Their conclusion, reported Kanno, is that the Palestinian Authority has served the ball to Hamas and is waiting for a response. ¶13. (C) For his part, FM Aso formally announced Japan will resume direct assistance to the Palestinian Authority for the first time since Hamas came to power in the amount of USD 11 million in grant aid. In addition, Aso announced an additional grant of USD 9 million to be channeled through international organizations to provide humanitarian assistance to Palestinians, including those in the Gaza Strip. He told the Palestinians Japan will continue to support peace in Gaza and undertook to urge the Israelis to allow international organizations to transport humanitarian supplies, such as food and medicine, to the people of Gaza. -------------- CPP FOUR-PARTY MEETING -------------- ¶14. (C) The centerpiece of Aso's trip was the four-party ministerial meeting held in Jericho the afternoon of August 15 to discuss the CPP initiative. Kanno told us the Japanese intended this to be a ceremonial event only, and there was no intention to discuss politics or technical details. The Japanese considered the meeting to be a great success, even though it started late. According to press reports, there was a small spat when the Israelis asked the Jordanian Foreign Minister to switch into one of their cars when he crossed the border. He refused and ended up being delayed for a few minutes. The Israeli delegation arrived last. ¶15. (C) The fact that FM Livni attended was considered a major accomplishment by the Japanese, as it marked the first time an Israeli minister, other than PM Olmert, has visited the West Bank since the beginning of the second intifada. Strolov concurred that FM Livni's presence was a big deal. He said many in Israel were very skeptical about whether she would attend, and he considers it a major victory for his Embassy, which pushed for the meeting. He attributed this to two factors: First, the current political situation calls for Israel to show strong support to the Abbas government, and given the fact that Olmert recently called ON him in the West Bank, it was natural that his visit be symbolically reinforced by a follow-on visit by the Foreign Minister; second, ON a more personal basis, Strolov said he believes the fact that FM Livni visited Tokyo earlier this year gave her a positive impression of the Japanese and their commitment to the process. Without this personal experience, Strolov said, she probably would not have been as inclined to attend. ¶16. (C) The Japanese are realistic about the fact that technical and political issues remain to be resolved, explained Kanno. He said the parties were unable to agree ON a joint written statement, so it was decided that FM Aso would summarize the outcome and the other parties would be able to speak. Accordingly, Aso summarized that the parties agreed: -- to establish an agro-industrial park in the southern part of the Jericho governorate; -- to hold a technical-level meeting in October to discuss candidate products for the park, and also to discuss the most effective ways to transport the products (the Jordanians wanted to make specific reference to the Damiya Bridge and airport, but the Japanese resisted); -- that each party will continue to give political support to this initiative; and, -- that, in parallel with the CPP initiative, the parties will hold an expert-level meeting by the end of the year to discuss environmental issues affecting the West Bank. ¶17. (C) The two major issues that have yet to be resolved are the exact location of the project and the Damiya Bridge "package." Kanno explained that with regard to location, the Israelis originally wanted to place the project in "Area C", while, not surprisingly, the Palestinians want it in "Area A." The Palestinians then countered with a proposal to place it in a location that straddles both Areas A and C, with the catch being that the portion in Area C would be considered part of Area A. The Israelis have responded that if this is to be the case, the project will be indefinitely stalled while politicians debate whether to agree, and they are still recommending an Area C location. ¶18. (C) ON the Damiya Bridge package that the Jordanians are pushing for, in addition to Japan's hesitancy to commit until a feasibility study is completed, there also remains the Israeli attitude to this phase of the project. According to both Kanno and Jordanian Embassy Third Secretary Ma'en Al-Khreasat, they may have serious security concerns about the size of the bridge or the nature of upgrades to be performed, and these issues may make it difficult to reach a decision quickly or one that will satisfy all parties, mainly the Jordanians. ¶19. (C) An additional issue that appears to have been settled is the identity of the official who will lead ON the project for the Palestinian side. Until this meeting, Saeb Erekat - who is loyal to Abbas - has always taken the lead for the Palestinian Authority. It has now been decided that Dr. Samir Abudullah, Minister of Planning and Labor, will take the lead. Kanno explained that this makes sense as Erekat is more associated with political negotiations and the CPP is an economic initiative which will hopefully transcend politics. In addition, Erekat comes from Jericho, and the Japanese are not too sad to see him out of the picture as they feared his local roots might lead to local political grandstanding with regard to the project, something Japan hopes to avoid. Finally, noted Kanno, Abudullah is more of a Fayyad man, and the Japanese have great confidence in Fayyad. Kanno said that the Israelis didn't seem to have any trouble with this shift in authority. -------------- COMMENT -------------- ¶20. (C) FM Aso remarked to the press that he considered this trip to be a great success, calling it his most constructive diplomatic mission in his 22 months as Foreign Minister. Even the Israelis, said Strolov, did not expect the CPP initiative to move as quickly and as seemingly successfully as it has. One member of the Japanese Diet commented to us, however, that we will have to wait and see if the initiative continues to thrive when, as predicted, Aso leaves MOFA. We assess it will continue to enjoy the support of the bureaucrats at MOFA who must make it happen. END COMMENT. -------------- FOUR PARTY TALKS DELEGATIONS -------------- ¶21. (C) Kanno shared with Embassy Political Officer "in confidence" the following list of delegates to the Four- Party Talks. Japan -------------- Mr. Taro Aso, Minister of Foreign Affairs Dr. Tatsuo Arima, Special Envoy of Government of Japan Mr. Yoshinori Katori, Ambassador to Israel Mr. Tetsushi Kondo, Representative of Japan to Palestinian Authority Mr. Norihiro Okuda, MOFA Director General for Middle East/Africa Bureau Mr. Reiichiro Takahash, Counselor, MOFA International Cooperation Bureau Mr. Tomohiko Taniguch, Deputy Press Secretary Mr. Kazuyuki Yamazaki, Private Secretary to Minister of Foreign Affairs Mr. Hideo Sato, Director, MOFA First Middle East Division Mr. Masahiro Takasugi, Principal Sr. Foreign Policy Coordinator, Foreign Policy Bureau Mr. Dadibe Tsunakake, Deputy Director, First Middle East Division Mr. Masayuki Magoshi, Deputy Director, Second Country Assistance Planning Division Mr. Hideaki Adachi, Deputy Director, First Middle East Division Mr. Mamoru Kanno, First Middle East Division Mr. Takeshi Naruse, Resident Representative, JICA Office Palestinian Authority -------------- Dr. Saeb Erekat, Head of PLO Negotiation Affairs Dept. Dr. Samir Abudullah, Minister for Planning and Labor Mr. Mohammad Kamal Hasouna, Minister for National Economy, Public Works, and Communications Dr. Sami Musallam, (Minister) Tourism Agency Waleed Siam, Representative, Palestinian Mission in Japan Dr. Ahmad Soboh, Deputy Minister of Foreign Affairs Mr. Arief Al-Jabari, Governor of Jericho Mr. Hassan Saleh, Head of Jericho Municipality Dr. Shaddad Attili, Policy Advisor, Negotiation Support Unit Dr. Bader Rock, Legal Advisor, Negotiation Support Unit Dr. Khalil Nejim, Director General, Ministry of Planning Eng. Bashar Juma'a, Director General, Ministry of Planning Mr. Rabee Hantoly, Head of Asia and Africa Dept., MOFA Mr. Ahmad Hassaneh, Head of Industrial Estates Mr. Jamal Haddad, Palestinian Investment Fund Israel -------------- Ms. Tzipi Livni, Vice Prime Minister and Minister of Foreign Affairs Mr. Alon Bar, Chief of Policy Staff, Minister's Office Ms. Ruth Kahanoff, Deputy Director General for Asia and the Pacific Mr. Yaacov Hadas, Deputy Director General for the Middle East Ms. Irit Ben-Abba, Head of Middle Eastern Economic Affairs Bureau Mr. Tal Becker, Policy Advisor to the Minister Mr. Omer Caspi, Policy Advisor to the Minister Mr. Erez Ron, Project Director, Economic Peace Corridor, Deputy Prime Minister's Office Mr. Yoav Peleg, Assistant, Strategic Planning, Ministry of Defense Jordan -------------- Mr. Abdullah Khatib, Minister of Foreign Affairs Mr. Nasser Shraideh, Secretary General, Ministry of Planning and International Cooperation Mr. Sameer Na'ori, Ambassador of Jordan to Japan Mr. Ali Al-A'ayed, Ambassador of Jordan to Israel Mr. Yahya Karalleh, Head of Jordan's Representative Office in Ramallah Mr. Nawwaf Al-Tal, Director of the Peace and Coordination Office, MOFA Ms. Sabah Al-Rafei, Director of Information and Public Relations, MOFA Mr. Haroon Hassan, Royal Court Mr. Maher Hasan, Security Officer Mr. Husain Abdallah, Protocol Officer -- DONOVAN